Text

Privatization, Restructuring, and Regulation of Network Utilities

---

Network utilities, such as electricity, telephones, and gas, are public utilities that require a fixed network to deliver their services. Because consumers have no choice of network, they risk exploitation by network owners. Once invested, however, a network's capital is sunk, and the bargaining advantage shifts from investor to consumer. The investor, fearing expropriation, may be reluctant to invest. The tension between consumer and investor can be side-stepped by state ownership. Alternatively, private ownership and consumers' political power can be reconciled through regulation. Either way, network utilities operate under terms set by the state. David Newbery argues that price-setting rules comprise only part of the policy agenda. Network utilities pose special problems of ownership and regulation. He discusses the history of ownership and regulation, privatization, and theories of regulation. Examining three network utilities in detail—telecoms, electricity, and gas—he contrasts the regulatory approaches of Britain and the United States. He also looks at liberalization in a variety of other countries. History shows that the mature forms of regulatory institutions are emarkably similar under both public and private ownership. This raises obvious questions such as: Will the forces that caused convergence to regulated vertical integration in the past reassert themselves? Can the benefits of competition be protected against the pressure to reintegrate? Will different utilities differ in their form and structure? A full understanding of the forces shaping regulatory institutions is necessary to answer these important questions.

---

Availability

No copy data

Detail Information

Series Title

-

Call Number

-

Publisher

Cambridge : The MIT Press., 2000

Collation

-

Language

English

ISBN/ISSN

9780262280587

Classification

NONE

Content Type

text

Media Type

computer

Carrier Type

-

Edition

-

Subject(s)

-

Specific Detail Info

-

Statement of Responsibility

By David M. Newbery

Other Information

Cataloger

jemadi

Source

https://direct.mit.edu/books/book/2691/Privatization-Restructuring-and-Regulation-of

Validator

Kholif Basri

Digital Object Identifier (DOI)

DOI: https://doi.org/10.7551/mitpress/5579.001.0001

Journal Volume

-

Journal Issue

-

Subtitle

-

Parallel Title

-

Other version/related

File Attachment

Comments

---

You must be logged in to post a comment